Sandisk (NASDAQ:SNDK) Shares Down 2.6% – Here’s Why

Sandisk Corporation (NASDAQ:SNDK)’s stock price dropped 2.6% during mid-day trading on Tuesday. The company traded as low as $1,650.00 and last traded at $1,660.46. 6,494,569 shares were traded during trading, a decline of 58% from the average session volume of 15,349,040 shares. The stock had previously closed at $1,704.16.

More Sandisk News

Here are the key news stories impacting Sandisk this week:

• Positive Sentiment: Mizuho raised its price target for Sandisk from $1,875 to $2,050 and reiterated an “outperform” rating, implying approximately 23.5% potential upside from the reference price. Mizuho Forecasts Strong Price Appreciation for Sandisk
• Positive Sentiment: Strong customer commitments support the growth outlook. A Seeking Alpha analysis cited Sandisk’s $93.9 billion NBM contract book, $16.5 billion in financial guarantees and $2.5 billion already received. Data-center revenue reportedly increased from $325 million in fiscal 2024 to $5.15 billion in fiscal 2026, highlighting hyperscaler demand. Sandisk: Customer Money Is Keeping Pace With the Contract Boom
• Positive Sentiment: Zacks added SNDK to its Rank #1 “Strong Buy” lists for both momentum and new strong-buy selections, reflecting favorable quantitative and price-trend factors. Best Momentum Stocks to Buy for October 6th
• Neutral Sentiment: Technical commentary says SNDK has formed an ascending-triangle pattern but remains near important support after failing to clear resistance around $1,893. A break above resistance could improve momentum, while a failure to hold support could extend weakness. SanDisk stock has formed an ascending triangle
• Negative Sentiment: Memory stocks are declining across the sector as investors reduce exposure after a sharp rally. SK Hynix’s earnings caution and uncertainty before upcoming reports are weighing on Sandisk, which still has a quarter to report. Memory stocks face earnings caution
• Negative Sentiment: Premarket weakness in Sandisk, Micron and other semiconductor names reflects profit-taking and heightened sensitivity to earnings expectations after SNDK’s substantial year-to-date rally. Why memory stocks are trending lower

Analyst Upgrades and Downgrades

Several equities research analysts have issued reports on the company. BNP Paribas Exane cut their price target on Sandisk from $1,900.00 to $1,400.00 in a report on Thursday, August 6th. Jefferies Financial Group restated a “buy” rating and set a $1,400.00 price target (up from $1,000.00) on shares of Sandisk in a report on Thursday, August 6th. Bank of America raised their target price on Sandisk from $2,100.00 to $2,500.00 and gave the stock a “buy” rating in a research report on Wednesday, July 1st. UBS Group reaffirmed an “overweight” rating and issued a $1,750.00 price objective on shares of Sandisk in a research note on Friday, August 14th. Finally, China Renaissance boosted their price target on Sandisk from $2,000.00 to $2,250.00 and gave the company a “buy” rating in a research note on Wednesday, August 19th. Two equities research analysts have rated the stock with a Strong Buy rating, twenty-two have given a Buy rating and four have issued a Hold rating to the stock. Based on data from MarketBeat, the stock has a consensus rating of “Moderate Buy” and an average target price of $2,120.65.

Sandisk Price Performance

The company has a market capitalization of $243.12 billion, a P/E ratio of 22.78, a price-to-earnings-growth ratio of 0.17 and a beta of 5.23. The firm has a fifty day moving average price of $1,554.26 and a 200-day moving average price of $1,450.62.

Sandisk (NASDAQ:SNDK) last posted its quarterly earnings results on Wednesday, August 5th. The data storage provider reported $39.25 earnings per share for the quarter, beating the consensus estimate of $33.28 by $5.97. Sandisk had a net margin of 56.47% and a return on equity of 87.84%. The company had revenue of $8.96 billion during the quarter. During the same quarter in the previous year, the company posted $0.29 EPS. Sandisk’s quarterly revenue was up 371.6% compared to the same quarter last year. Sandisk has set its Q1 2027 guidance at 44.000-46.000 EPS. On average, research analysts forecast that Sandisk Corporation will post 208.94 EPS for the current year.

Sandisk announced that its Board of Directors has initiated a share buyback plan on Wednesday, August 5th that permits the company to repurchase $14.00 billion in outstanding shares. This repurchase authorization permits the data storage provider to repurchase up to 6.6% of its stock through open market purchases. Stock repurchase plans are generally a sign that the company’s board believes its stock is undervalued.

Insider Buying and Selling at Sandisk

In other news, CEO David Goeckeler sold 33,841 shares of the business’s stock in a transaction on Thursday, September 17th. The shares were sold at an average price of $1,574.21, for a total transaction of $53,272,840.61. Following the completion of the transaction, the chief executive officer directly owned 382,865 shares in the company, valued at $602,709,911.65. The trade was a 8.12% decrease in their position. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is available at this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, EVP Alper Ilkbahar sold 4,712 shares of the firm’s stock in a transaction dated Thursday, September 3rd. The shares were sold at an average price of $1,540.58, for a total value of $7,259,212.96. Following the completion of the sale, the executive vice president directly owned 44,134 shares in the company, valued at approximately $67,991,957.72. The trade was a 9.65% decrease in their position. The disclosure for this sale is available in the SEC filing. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Over the last 90 days, insiders have sold 77,899 shares of company stock valued at $121,159,122. 0.21% of the stock is owned by corporate insiders.

Institutional Inflows and Outflows

Several hedge funds and other institutional investors have recently added to or reduced their stakes in SNDK. Central Pacific Bank Trust Division boosted its holdings in shares of Sandisk by 18.9% in the 3rd quarter. Central Pacific Bank Trust Division now owns 711 shares of the data storage provider’s stock worth $1,237,000 after purchasing an additional 113 shares in the last quarter. Silverleafe Capital Partners LLC purchased a new position in shares of Sandisk in the third quarter valued at about $513,000. Versant Capital Management Inc raised its position in Sandisk by 6.8% during the 3rd quarter. Versant Capital Management Inc now owns 563 shares of the data storage provider’s stock valued at $980,000 after purchasing an additional 36 shares during the last quarter. Doliver Advisors LP purchased a new stake in Sandisk in the third quarter worth $367,000. Finally, Atomic Invest LLC bought a new stake in shares of Sandisk during the 2nd quarter valued at about $25,000.

Sandisk Company Profile

SanDisk Corporation offers flash storage solutions. The Company designs, develops and manufactures data storage solutions in a range of form factors using flash memory, controller, firmware and software technologies. The Company operates through flash memory storage products segment. Its solutions include a range of solid state drives (SSD), embedded products, removable cards, universal serial bus (USB), drives, wireless media drives, digital media players, and wafers and components. It offers SSDs for client computing applications, which encompass desktop computers, notebook computers, tablets and other computing devices.